A Longer Runway, A Lighter Payment.
Extended amortization with an interest-only period, on loans from $150,000 to $3.5 Million, for owner-occupied, second home, and investment property.
Extended amortization with an interest-only period.
However you want the payment shaped, there’s likely a path that fits.
- DTI must stay below 50% on the longer payment and 55% on a standard one*
- Extended amortization stretches the payoff further out
- Borrowers prioritizing monthly cash flow
- Bankruptcy or foreclosure needs 48 months of seasoning at one program*
- Six months of reserves cover loans through $1,500,000*
- A 740 score opens one-unit primary homes to $5,000,000*
- Rentals can reach $2,500,000 with 700 credit and 12 months in reserve*
- Texas 50(a)(6) home equity loans can use the longer fixed term*
Homes, second homes and rentals
Extended amortization with an interest-only period
Loans from $100,000 to $3,500,000
Rental income financing also carries this structure
Fully amortizing over the whole term
Full doc or alternative income
What is the Saxton Extended Term Interest Only Loan?
Extended amortization paired with an interest-only period
The Saxton Extended Term Interest Only Loan stretches amortization further out than a standard schedule and pairs it with an interest-only period, which lowers the scheduled payment while that period runs.
An extended amortization loan repays principal over a longer schedule than a standard fixed loan, and it is fully amortizing, so the balance pays down with every scheduled payment. One program offers it for the home you live in, a vacation home or a rental.
The feature sits inside non-QM programs, so income can be documented with full doc or alternative paperwork. One program pairs it with 12 months of bank statements, 1099s or a profit and loss statement, and requires a two-year self-employment history for those options. Learn more about second home and investment property.
Why choose the Saxton Extended Term Interest Only Loan?
Built for borrowers who want the smallest scheduled payment the structure allows.
Two DTI Tests, Not One
At one program your DTI must be under 50% using the longer payment and under 55% using a standard payment. Both tests have to pass for approval.
Manufactured Homes Are Excluded
One program lists its longer-term products as ineligible for manufactured housing, so we confirm the property type before anything else.
No High-DTI Exception Here
One program allows DTI above 50% on some loans, but it lists longer terms as ineligible for that higher-DTI option. Plan on a 50% ceiling there.
High Cost Markets
Expensive markets where a standard schedule stretches the budget thin.
Jumbo Files Need Full Appraisals
At one jumbo program that offers the longer term, appraisal waivers are not permitted and you can hold at most 10 financed properties. DTI cannot exceed 50% there.
A Lighter Scheduled Payment
Extended amortization with an interest only period is built to keep the scheduled payment low.
Hear From Homeowners Like You
Frequently Asked Questions
Straight answers about extended amortization.
It is a fully amortizing loan with a longer repayment schedule than a standard fixed loan, offered through non-QM and jumbo programs. One program makes it available on owner-occupied, second-home and rental properties, with loan amounts starting at $100,000.
At one program you must clear two DTI tests: under 50% on the longer-amortization payment and under 55% on a standard fully amortizing payment. Credit, asset and reserve rules for the program still apply on top of that.
Yes. One program that offers the longer term takes a year of personal or business bank statements, a year of 1099s, or a 12-month profit and loss statement. Those alternative options are limited to borrowers with two years in business for themselves.
Yes. One jumbo program offers it on balances as large as $5,000,000 for a one-unit primary or second home, given a 740 score and a full 12 months in reserve. Appraisal waivers are not permitted on that program.
Yes. A jumbo program lets investment homes reach $2,500,000 when you bring 700 credit and 12 months in reserve. On rental loans qualified by rent, some programs offer the longer term only when it comes with an interest-only period.
Not at one program that offers it. Its matrix lists longer-term products and terms as ineligible for manufactured housing. If you own a manufactured home, ask us which other loan types fit that property.
At one program, yes. For Texas Section 50(a)(6) home equity loans it lists a longer fully amortizing fixed term as an eligible product, and it accepts full doc, 1099, bank statement and profit and loss documentation.
Find out what you qualify for
Tell us your income type, property and loan size. We will check which program offers the longer amortization for your file, and pre-qualification is the place to begin.
Get Pre-Qualified- Consumer Financial Protection Bureau, mortgages
- Consumer Financial Protection Bureau, buying a house: tools and resources for homebuyers
*Loan amounts, rates, terms, and down payment requirements are subject to credit approval, income and asset verification, and program eligibility. Down payment and cash-out limits vary by occupancy, credit score, and documentation type. Not all applicants will qualify. Saxton Mortgage, LLC is an Equal Housing Lender.